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What is the current situation regarding workers' regulations & labor rights?
FAIRWORK RATINGS
Fairwork began collecting data for the US in 2022. We expect them to publish ratings regarding significant companies within the next few years.
RECENT WORKER STRIKES & ACTIONS
- Independent Facebook groups advocated assaults by drivers following the fatal shooting of an Uber driver.
- Independent contractors use media to share frustration regarding customers' & employers' lack of concern, unfair pay, and technical mishaps.
- Gig workers throughout the US go on a three-day strike on Thanksgiving to demand better working conditions and increased transparency.
QUICK FACTS
- As per Mastercard’s survey, the United States contributes 44% of the global gig economy's gross value.
- According to ADP, 22% of Florida’s workforce are gig workers, the highest percentage in the US.
- An article in The Guardian highlights below minimum wage; an average Colorado driver earns $5.49.
- Massage therapy is the highest-paying gig job, paying $27.34 (App Job)
- According to Stride Health, 24% of gig workers are uninsured.
REGULATION AND LABOR RIGHTS
- 2010-2019: Ten states passed the Domestic Workers' Bill of Rights for their protection.
- 2020: AB5 provided a three-pronged test to classify workers as independent contractors- soon overridden by Proposition 22.
- 2022: The Gig Workers Premium Pay Ordinance compensated workers affected by Uber Eats' negligence.
- 2022: The DOL proposed a rule to classify workers better and ensure their rightful wages.
- 2022: NYC's regulators raised fares after ten years- increased Uber and Lyft fares by 7% per minute and 24% per mile. The salary increase went into effect at the beginning of 2023.
- 2022: Mixed reaction from gig companies when asked for abortion aid rights for gig workers
IMPORTANT COURT CASES
- In 2021, a California state judge retracted Proposition 22. It labeled drivers as independent contractors, restricting the scope of worker’s compensation law and collective bargaining in future gig work.
- In 2022, the court required companies to employ a more complex system for classifying workers as employees or independent contractors.
- In March 2023, a California appeals court reversed a lower-court ruling that found Proposition 22 illegal.
GIG WORKERS' GROUPS
- 'Gig workers Collective' and 'Gig workers Rising' mobilize the general gig workers’ community.
- 'National Domestic Workers Alliance' represents domestic workers on platforms; they, along with 'Justice for app workers', collectively voice in front of authorities.
- 'Rideshare Drivers United' works specifically for Uber and Lyft drivers.
Copyright - WageIndicator March 2023 (data collected between October 2022 and January 2023)